Echo plans new Brisbane casino

Treasury Casino could be converted into a boutique hotel and an entirely new casino built in Brisbane's CBD under suggestions put to the state government by the casino's operator just last week.

At Echo Entertainment's annual general meeting on the Gold Coast today, chairman John O'Neill confirmed he had met with the Newman government as recently as last week to discuss the company's "willingness" to spend up to $1.3 billion on a new casino and hotel facility in Brisbane.

The Treasury Casino building could be converted to a boutique hotel. Photo: Harrison Saragossi

"We have responded as a company to Campbell Newman's desire ... to help rejuvenate Brisbane," he told shareholders gathered at Echo's Jupiters Casino.

"Discussions were held as late as last week as to possible sites that they might think could become available for a new development of an integrated entertainment resort similar to what we've done in Sydney."

With the existing heritage-listed treasury buildings, which Echo has leased until 2070, restricting the company's growth, Mr O'Neill said its performance in Queensland had been "soft" over the last financial year.

Revenues were lower than the same time last year, with Echo blaming the softer economic environment and its inability to provide new facilities due to government red tape.

But, the state government revealed plans in May to transform the parliamentary end of Brisbane's CBD and open sites on William and George streets to private development.

"In the event that we reach agreement with the government's support to look at another site, the existing buildings would be retained, perhaps used for different purposes - boutique hotels, restaurants and food and beverage - but very much converted into something that was more in keeping with their heritage listing," Mr O'Neill said.

He later told reporters: "It's in the government's court as to whatever time it takes to indicate to us where they think the locations are we should look at more closely and we'll do that more closely."

Mr O'Neill acknowledged Echo had endured its fair share of controversy in 2012, particularly a challenge by billionaire James Packer to end the operator's monopoly on Sydney's casino licence, with The Star complex at Pyrmont.

Mr O'Neill told shareholders he believed that states should stick to having just one casino in every major city.

Such a policy was "the right one to create the platform for truly distinctive developments that safeguard responsible gambling and provide a growing stream of tax revenue to governments as well as adequate returns for shareholders," he said.